How To Buy a House
Buying your first house can be daunting. You may not know anything about how to buy a house or where to even begin. Start off by following these steps when you are ready to become a homeowner.
Hire a Buyer’s Agent
Real estate agents can act in two capacities, as a buyer’s agent or as a seller’s agent. When an agent is contracted by a homebuyer to find a house, that agent is representing the buyer’s best interest. He or she will guide you through all the steps of the process, from house-hunting to signing the closing paperwork.
How to Buy a House That Meets Your Needs and Wants
There are some features of your new home that are non-negotiable for you. These may be dictated by how large your family is or where you work. Then there are things about a house that you want or prefer but do not need. These may include a kitchen island, walk-in closets, and a pool.
Talk to a Lender and Get Pre-Approved
Without pre-approval, you won’t be certain of your price range and sellers won’t see you as a viable buyer. Once you find a house you want to buy, your offer will more likely be accepted if you have been pre-approved by your lender.
Make Sure Your Payment is Affordable
Sometimes a lender will approve you for a higher mortgage than is actually practical for you. Your mortgage payment should be a third of your net monthly income or less. If you go over this amount, you will not have much leeway if an emergency happens. Don’t forget that once you own a home, you are also responsible for all of the maintenance costs that you did not have as a renter.
Offer the Right Amount for the Home
Talk to your real estate agent and come up with a realistic and fair offer for the house. An offer that is too low will insult the seller and they may not even want to negotiate. On the other hand, an offer that is too high will cost you more money than you need to spend.
How to Buy a House Wisely
When you fall in love with a home, you may be tempted to pay more than it is worth or more than you can afford. There will always be other houses coming on the market. If you think the home is perfect but the cost doesn’t make sense for you, keep looking.
Have the Home Inspected
You should always get a home inspection on any house you want to buy. You can make an offer right away, but make it contingent on the home inspection. You don’t want to end up with a home that has unexpected problems.
Follow these seven steps and work with a good agent, and you will successfully buy a home.